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Fidelity Nasdaq Composite Index ETF (ONEQ): Complete Beginner's Guide

Last updated: March 2026Fidelity Nasdaq Composite

Expense Ratio

0.21%

AUM

$6.0B

Dividend Yield

0.70%

Inception

2003

Beginner Score

9/10

What is Fidelity Nasdaq Composite Index ETF?

ONEQ tracks nearly every stock listed on the Nasdaq exchange, providing broad exposure to thousands of growth-oriented companies. Unlike funds that only hold the Nasdaq 100, ONEQ includes smaller and mid-sized Nasdaq-listed firms as well. This gives investors a more complete picture of the Nasdaq marketplace beyond just the biggest names.

ONEQ is managed by Fidelity and has been available since 2003. With $6.0B in assets under management, it's a growing fund that has attracted significant investor interest. The fund charges an expense ratio of 0.21%, which means for every $10,000 you invest, you pay approximately $21 per year in management fees.

ONEQ at a Glance — Key Metrics

Expense Ratio0.21%
Total Holdings1,020
P/E Ratio30.2
Beta1.12
Dividend Yield0.70%
AUM$6.0B
Inception Year2003
IssuerFidelity

Top 10 Holdings in ONEQ

ONEQ holds 1,020 different securities. Here are the largest positions that make up the core of this fund:

#CompanyTickerWeight
1Apple Inc.AAPL12.00%
2Microsoft Corp.MSFT11.00%
3NVIDIA Corp.NVDA9.00%
4Amazon.com Inc.AMZN6.00%
5Meta Platforms Inc.META4.50%
6Alphabet Inc. Class AGOOGL3.80%
7Alphabet Inc. Class CGOOG3.60%
8Broadcom Inc.AVGO3.50%
9Tesla Inc.TSLA3.00%
10Costco WholesaleCOST2.20%

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ONEQ Performance History

Here's how ONEQ has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:

YTD

4.00%

1 Year

25.00%

3 Year

10.00%

5 Year

17.00%

10 Year

16.00%

Beginner Suitability Score: 9/10

Great for Beginners

Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.

ONEQ scores 9/10 because it has very low fees, can be more volatile than the broader market, offers broad diversification across 1,020 holdings, and has been available since 2003, giving it a proven track record.

How to Buy ONEQ — Step by Step

  1. Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
  2. Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
  3. Search for "ONEQ" — Use the search bar in your brokerage platform to find Fidelity Nasdaq Composite Index ETF.
  4. Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
  5. Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.

Dollar Cost Averaging Into ONEQ

Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):

Monthly10 Years20 Years30 Years
$100/mo$18,417$59,295$150,030
$250/mo$46,041$148,237$375,074
$500/mo$92,083$296,474$750,148

*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.

Fee impact: With ONEQ's expense ratio of 0.21%, a $10,000 investment would lose approximately $1,779 to fees over 20 years compared to a zero-fee investment. This is significant — consider whether the fund's strategy justifies these costs.

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Pros and Cons of ONEQ

Pros

  • Covers the entire Nasdaq exchange with over 1,000 stocks for broader diversification
  • Includes small and mid-cap Nasdaq companies not found in Nasdaq 100 funds
  • Reasonable expense ratio for an exchange-level composite index fund
  • Long track record since 2003 with consistent performance through market cycles

Cons

  • Higher expense ratio than comparable Fidelity index funds
  • Still heavily tilted toward mega-cap technology stocks despite broader coverage
  • Excludes all NYSE-listed companies, missing major names like Berkshire Hathaway

Frequently Asked Questions

Is ONEQ a good ETF for beginners?

ONEQ has a Beginner Suitability Score of 9/10 on our scale. This makes it a strong choice for new investors due to its low fees and broad diversification.

What is the expense ratio of ONEQ?

ONEQ has an expense ratio of 0.21%. This means for every $10,000 you invest, you pay approximately $21 per year in fees. This is considered very low and cost-efficient.

How much money do I need to invest in ONEQ?

You can invest in ONEQ with as little as $1 through brokers that offer fractional shares (like Fidelity, Schwab, or Robinhood). There is no minimum investment required beyond the share price itself, which changes daily. Dollar cost averaging — investing a fixed amount regularly — is a popular strategy.

Does ONEQ pay dividends?

Yes, ONEQ pays dividends with a current yield of approximately 0.70%. Dividends are typically paid quarterly and can be reinvested automatically through most brokers.

What are the top holdings in ONEQ?

The top holdings in ONEQ include Apple Inc. (12.00%), Microsoft Corp. (11.00%), NVIDIA Corp. (9.00%), and more. The fund holds 1,020 total positions, providing broad diversification across many companies.